Green energy, PGE, and CUB

Two Sundays ago, on January 28, The Oregonian published an article by Gail Kinsey Hill, titled Green Power at a premium, with the subtitle and theme of “Marketing, overhead heat up costs for the popular utility programs”. I read it and concluded “Hmm, sounds like I’m being ripped off by participating in Portland General Electric’s Renewable Power program.” So I want to make sure everyone sees the Letter to the Editor published yesterday (ten days later) from Bob Jenks, Executive Director of the Citizens’ Utility Board.

“We frequently criticize Portland General Electric, but we disagree with the recent criticism of PGE’s voluntary renewable-power program. Our analysis shows that PGE spends less on marketing than other utilities with similar programs.

PGE customers can purchase renewable energy for 0.8 cents per kilowatt hour; elsewhere in the country, utilities charge an average of 2.4 cents per kilowatt hour — three times as much!

PGE’s administration and marketing costs are 0.45 cents per kilowatt hour; the administration and marketing costs for other programs is 0.70 cents per kilowatt hour.

Oregon’s program is well-designed, carefully regulated, uses competitive bidding to find the lowest price, and does not allow for utility profit. Customers who purchase PGE’s green power are having exactly the effect they want — the development of new renewable resources — and doing so at a great price. This is a success story.”

BOB JENKS Executive director Citizens’ Utility Board of Oregon Southwest Portland

I trust the Citizens’ Utility Board (CUB), especially on an issue like this. More details on how “The Oregonian is just plain wrong” on CUB’s impressive site. Warning: time spent at this link can expand to fit the amount available.